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Blue Label Telecoms (JSE:BLU) Debt-to-EBITDA : 1.99 (As of Nov. 2024)


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What is Blue Label Telecoms Debt-to-EBITDA?

Debt-to-EBITDA measures a company's ability to pay off its debt.

Blue Label Telecoms's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Nov. 2024 was R1,786 Mil. Blue Label Telecoms's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Nov. 2024 was R2,641 Mil. Blue Label Telecoms's annualized EBITDA for the quarter that ended in Nov. 2024 was R2,225 Mil. Blue Label Telecoms's annualized Debt-to-EBITDA for the quarter that ended in Nov. 2024 was 1.99.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for Blue Label Telecoms's Debt-to-EBITDA or its related term are showing as below:

JSE:BLU' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.55   Med: 1.24   Max: 2.48
Current: 2.05

During the past 13 years, the highest Debt-to-EBITDA Ratio of Blue Label Telecoms was 2.48. The lowest was -0.55. And the median was 1.24.

JSE:BLU's Debt-to-EBITDA is ranked better than
54.37% of 320 companies
in the Telecommunication Services industry
Industry Median: 2.32 vs JSE:BLU: 2.05

Blue Label Telecoms Debt-to-EBITDA Historical Data

The historical data trend for Blue Label Telecoms's Debt-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Blue Label Telecoms Debt-to-EBITDA Chart

Blue Label Telecoms Annual Data
Trend May15 May16 May17 May18 May19 May20 May21 May22 May23 May24
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.48 1.19 1.28 2.41 1.70

Blue Label Telecoms Semi-Annual Data
May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23 May24 Nov24
Debt-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.24 2.13 1.94 1.96 1.99

Competitive Comparison of Blue Label Telecoms's Debt-to-EBITDA

For the Telecom Services subindustry, Blue Label Telecoms's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Blue Label Telecoms's Debt-to-EBITDA Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Blue Label Telecoms's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Blue Label Telecoms's Debt-to-EBITDA falls into.


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Blue Label Telecoms Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

Blue Label Telecoms's Debt-to-EBITDA for the fiscal year that ended in May. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1189.753 + 2937.485) / 2424.488
=1.70

Blue Label Telecoms's annualized Debt-to-EBITDA for the quarter that ended in Nov. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1785.808 + 2640.724) / 2225.184
=1.99

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is two times the quarterly (Nov. 2024) EBITDA data.


Blue Label Telecoms  (JSE:BLU) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.


Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.


Blue Label Telecoms Debt-to-EBITDA Related Terms

Thank you for viewing the detailed overview of Blue Label Telecoms's Debt-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


Blue Label Telecoms Business Description

Traded in Other Exchanges
N/A
Address
75 Grayston Drive, Corner Benmore Road, Morningside Extension 5, Sandton, Johannesburg, GT, ZAF, 2196
Blue Label Telecoms Ltd is a technology company. It derives revenue from the distribution of airtime and mobile transaction services. It operates through four segments: African Distribution, International, Solutions and Corporate. African distribution includes the distribution of physical and virtual prepaid airtime and electricity of the South African telecommunication and utilities companies. International includes the distribution of physical and virtual prepaid airtime in India and Mexico and payment solutions in India. Solutions include the provision of a mobile transactional platform and the marketing of mobile and financial products. The company generates the vast majority of its revenue in South Africa.